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IVZ vs. BLK: Which Stock Should Value Investors Buy Now?
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Investors looking for stocks in the Financial - Investment Management sector might want to consider either Invesco (IVZ - Free Report) or BlackRock (BLK - Free Report) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The Zacks Rank is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
Currently, Invesco has a Zacks Rank of #2 (Buy), while BlackRock has a Zacks Rank of #3 (Hold). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that IVZ is likely seeing its earnings outlook improve to a greater extent. However, value investors will care about much more than just this.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their current share price levels.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
IVZ currently has a forward P/E ratio of 9, while BLK has a forward P/E of 19.69. We also note that IVZ has a PEG ratio of 0.80. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. BLK currently has a PEG ratio of 1.79.
Another notable valuation metric for IVZ is its P/B ratio of 0.96. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, BLK has a P/B of 3.12.
Based on these metrics and many more, IVZ holds a Value grade of B, while BLK has a Value grade of C.
IVZ sticks out from BLK in both our Zacks Rank and Style Scores models, so value investors will likely feel that IVZ is the better option right now.
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IVZ vs. BLK: Which Stock Should Value Investors Buy Now?
Investors looking for stocks in the Financial - Investment Management sector might want to consider either Invesco (IVZ - Free Report) or BlackRock (BLK - Free Report) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The Zacks Rank is a proven strategy that targets companies with positive earnings estimate revision trends, while our Style Scores work to grade companies based on specific traits.
Currently, Invesco has a Zacks Rank of #2 (Buy), while BlackRock has a Zacks Rank of #3 (Hold). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that IVZ is likely seeing its earnings outlook improve to a greater extent. However, value investors will care about much more than just this.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their current share price levels.
Our Value category grades stocks based on a number of key metrics, including the tried-and-true P/E ratio, the P/S ratio, earnings yield, and cash flow per share, as well as a variety of other fundamentals that value investors frequently use.
IVZ currently has a forward P/E ratio of 9, while BLK has a forward P/E of 19.69. We also note that IVZ has a PEG ratio of 0.80. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. BLK currently has a PEG ratio of 1.79.
Another notable valuation metric for IVZ is its P/B ratio of 0.96. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, BLK has a P/B of 3.12.
Based on these metrics and many more, IVZ holds a Value grade of B, while BLK has a Value grade of C.
IVZ sticks out from BLK in both our Zacks Rank and Style Scores models, so value investors will likely feel that IVZ is the better option right now.